Value Drivers

Huthwaite’s research shows that commoditization of the marketplace has redefined the sales process over the last decade. In today’s environment, great products and services no longer earn high margins—they simply get you in the door.

But if brand allegiance is virtually non-existent now, what do customers value?

To find out, we assembled data on more than 10,000 business transactions with one common characteristic: the customer described all products in the marketplace as indistinguishable yet did not purchase the least expensive option. But why?

The answer is that in today’s commoditized market, value no longer resides in products, services or technologies themselves but rather in the manner in which they are sold and delivered.

Our data also reveal that customers will pay a premium, establish a closer relationship with the seller, and create barriers to the seller’s competition if the seller:

• Reveals an Unrecognized Problem that the customer is experiencing
• Creates or reveals an Unseen Opportunity
• Develops an Unanticipated Solution to address the customer’s problems or exploit the customer’s opportunities
• Serves as a Broker of Capabilities, not just a vendor of product and services—revealing to the customer the full capabilities of the seller’s organization

These are called the Value Drivers, and each requires specific tactical skill for execution. Unfortunately, few sellers are aware of these drivers or how to employ them. Huthwaite’s approach empowers sellers to master these skills and successfully create value where the competition fails.